BILL ANALYSIS
AB 2656
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Date of Hearing: May 12, 2010
ASSEMBLY COMMITTEE ON APPROPRIATIONS
Felipe Fuentes, Chair
AB 2656 (De Leon) - As Amended: May 6, 2010
Policy Committee: Higher
EducationVote:6-3
Urgency: No State Mandated Local Program:
No Reimbursable:
SUMMARY
This bill places requirements on academic research by employees
of postsecondary educational institutions conducted under
contract with the state. Specifically, this bill:
1)Requires research conducted under contract with the state-by
any administrator, faculty member, or staff member of a public
or private postsecondary educational institution-to be subject
to internal institutional policies regarding minimum academic
standards and protocols, as defined by the institution.
2)Prohibits a state agency from entering into a research
contract with an institution without first verifying that the
institution and research employee are subject to internal
policies of the institution.
3)Requires a state agency or a researcher of an institution to
certify that research conducted pursuant to a contract with
the agency complies with the academic standards and protocols
of the institution.
FISCAL EFFECT
1)Minor one-time costs ($15,000) for the Department of General
Services to implement the certification policy.
2)Minor one-time costs for University of California and
California State University campuses to notify employees of
the contracting requirement and minor ongoing costs for
campuses to respond to requests from state agencies for
verification regarding research policies and procedures.
AB 2656
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COMMENTS
1)Background . Two recent studies relating to California's
regulatory environment and AB 32 (Nunez)/Chapter 488, the
Global Warming Solutions Act of 2006 have resulted in
controversy and confusion about the effects of state
regulation on small businesses. Both studies were conducted by
Professors Sanjay Varshney and David Tootelian, who are
faculty at California State University, Sacramento (CSUS),
although CSUS was not part of the contract.
The first study-"Cost of State Regulations on California Small
Businesses Study (September 2009)-concluded that California's
regulations of all types resulted in reduction in the gross
state product of $493 billion annually in lost output and
$134,000 annually per small business. This study was
commissioned by AB 2330 (Arambula)/Chapter 232 of 2006. The
second study-"Cost of AB 32 on California Small
Businesses-Summary Report of Findings (June 2009)"-concluded
that AB 32 will cost California's small businesses $183
billion in lost output each year.
In response to an inquiry by the author, the Legislative
Analyst's Office (LAO) dismissed as "highly unreliable" the
researchers' claim that California's global warming law would
wipe out one million jobs and $493 million in economic output
and labeled the second study "essentially useless."
2)Purpose . This bill seeks to ensure that research conducted
under contract with the state is accomplished in accordance
with the institution's academic standards for such products.
Analysis Prepared by : Chuck Nicol / APPR. / (916) 319-2081